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Evolution AB (publ) (EVO) Fair Value & Analysis

Consumer Cyclical · SE · Market cap 132B SEK (≈ $13.8B) · ISIN SE0012673267

What is Evolution AB (publ) really worth?

EA Evolution AB (publ) EVO · ST
Pricekr 846.00
Fair Valuekr 982.64
Upside+16.2%
Quality79/100

A strong business, trading 14% below our fair value of kr 982.64.

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Strengths

Highly profitable · 51.5% net margin
Low debt · generates free cash flow
Ranks above peers (9/14)
Wide moat 83/100

Risks

!Mixed Growth (revenue 5y +30.4 %/yr)
!The models disagree: range kr 737.83 to kr 3,686
!Weak on dividend: 8 out of 100
Evidence: High Range kr 737.83 – kr 3,686

Fair value as of: Sep 1, 2026

From 24 valuation models · updated 4 days ago

Fair value updated Sep 1, 2026, revised from kr 981.37 to kr 982.64 (+0.1%) since Aug 27, 2026. Share price +15.4% over the past month.

What runs behind every stock

69 individual criteria per stock, every one traceable See the method →

What matters now

  • The model range is unusually wide (kr 737.83 to kr 3,686). The outcome hinges heavily on assumptions, so read the point estimate with caution.
  • The price sits in the lower half of our model range, the side with the larger margin of safety.
  • The data supports the verdict: every model runs on fully documented inputs.

Price vs Fair Value (5 years)

kr 1,436 kr 515.80 Fair Value kr 982.64 Jun 2021 Sep 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Sep 1, 2026.

How to read this chart

60‑month range kr 515.80 – kr 1,436 · fair‑value band kr 737.83 – kr 3,686 · the kr 846.00 price screens below the kr 982.64 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Sep 1, 2026.

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Analysis

Evolution AB (publ) (EVO) currently trades at kr 846.00, while our model-based Fair Value estimate is kr 982.64, implying the stock looks roughly 13.9% undervalued today. The Quality Score stands at 79/100 (high quality), in the Consumer Cyclical sector. Bull case: the Growth Earnings group reads highest at a median of kr 255.03 per share, and 0 of the 24 models we run sit above the kr 846.00 price. Bear case: the DCF Models group reads lowest at kr 170.23, and 24 of the 24 models stay below the price. Evidence for this calculation is high.

Over the trailing twelve months, Evolution AB (publ) generated revenue of 2.1B SEK at a net margin of 51.5%. Revenue declined 1.5% year over year. It earns a return on equity of 25.0%. The balance sheet holds a net cash position of 652M SEK. Fundamentals as of Sep 1, 2026

Our scenario range runs from kr 737.83 (bear case) to kr 3,686 (bull case); at kr 846.00, the current price sits within that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. Analysts expect earnings well below the last reported figure (earnings in transition, for example expiring patents or contracts); a fair value that looks fair on trailing earnings may then be too optimistic. The share trades about 5% below its 52-week high and 64% above its 52-week low, currently above its 200-day average. For context, the median of 10 Consumer Cyclical peers we cover trades at −14% fair-value upside, at 16%, EVO screens cheaper than that median.

Fair Value models

This estimate rests on fiscal year 2025 figures, and about 8 months have passed since. In that time the company retained roughly kr 38.71 per share, which is 3.9 % of the fair value. The fair value deliberately does not add this in: the models value reported figures, not a projection.

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted, family-balanced blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small. Every input is real reported data, nothing guessed.

Note: the current price implies far more future growth than the conservative anchors of our models allow (base growth is deliberately capped, we do not regard such extreme rates as sustainable). Our models are not designed for expectations this high; that is why the individual models scatter extremely (kr 13.14 to kr 260.31). Read the values as a conservative anchor, not as a price target.
Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
EPV kr 57.03 kr 65.83 kr 73.53 74
FCF DCF kr 109.72 kr 170.23 kr 362.93 73
Growth DCF kr 103.45 kr 201.18 kr 361.34 73
All 24 models by family
DCF Models
FCF DCF kr 109.72 kr 170.23 kr 362.93 73
Owner Earnings kr 98.27 kr 218.25 kr 470.13 68
5Y Revenue Exit kr 40.54 kr 53.29 kr 78.83 70
5Y EBITDA Exit kr 82.99 kr 139.14 kr 249.08 70
5Y P/E Exit kr 101.50 kr 219.49 kr 379.92 65
10Y Revenue Exit kr 60.80 kr 96.47 kr 109.12 66
10Y EBITDA Exit kr 92.20 kr 187.89 kr 350.77 63
10Y P/E Exit kr 105.70 kr 227.74 kr 427.53 58
Earnings-Based
Graham-Dodd kr 37.33 kr 260.31 kr 365.31 61
Lynch FV kr 134.49 kr 192.12 kr 249.76 59
PEG = 1.0 kr 134.49 kr 192.12 kr 249.76 55
EPV kr 57.03 kr 65.83 kr 73.53 74
Multiples
P/E Multiple kr 90.57 kr 120.76 kr 150.95 63
P/S Multiple kr 9.85 kr 13.14 kr 16.42 58
P/B Multiple kr 62.98 kr 83.98 kr 104.97 55
EV/EBIT kr 91.94 kr 121.18 kr 150.42 66
EV/EBITDA kr 70.28 kr 92.30 kr 114.32 67
EV/Revenue kr 13.41 kr 17.35 kr 21.29 54
Asset-Based
NCAV (Graham) kr 10.50 kr 14.07 kr 20.99 54
Growth DCF
Growth DCF kr 103.45 kr 201.18 kr 361.34 73
Rev-Margin DCF kr 43.48 kr 59.40 kr 90.89 70
Economic Profit
Residual Income kr 38.23 kr 51.98 kr 337.79 61
ROIC Compounder kr 74.64 kr 114.67 kr 168.10 68
Growth Earnings
Growth-Adj P/E kr 178.52 kr 255.03 kr 331.54 65

Widest divergence: Growth Earnings (kr 255.03) versus Asset-Based (kr 14.07). Highest evidence: EPV (74).

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Key figures & financial health

P/E ratio 14.5
P/S ratio 7.28 P/E × margin
EPS (TTM) kr 58.30 price ÷ EPS = P/E 14.5
Dividend yield 0.4% payout 6.1%
Net margin 50.1% FY2025
Return on equity 25.0% TTM
More key figures
Profitability
Return on assets (EBIT) 22.0% avg 5y
Operating margin 57.0% TTM
Growth
Revenue (TTM) 2.1B SEK TTM
Revenue growth (YoY) −1.5% 3y avg +13.3%
EPS growth (YoY) +1.7%
Balance sheet & cash flow
Free cash flow 1.2B SEK FY2025
Net cash 652M SEK FY2025

Figures from reported company fundamentals · as of Sep 1, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 79/100

Of which business quality 78 · Market factors (momentum, volatility) 70

Profitability 76
Margins and returns on capital today
Quality Growth 30
Are margins and returns improving?
Cashflow 87
Earnings quality: real cash, not paper profit
Fin. Strength 90
Balance sheet, leverage, solvency risk
Investment 76
Disciplined investing over empire-building
Low Volatility 78
Calm price path (market factor)
Momentum 67
Price trend over the last 3–12 months (market factor)
52W Momentum 65
Distance to the 52-week high (market factor)
Net Issuance 100
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.

About the company

Evolution AB (publ) develops, produces, markets, and licenses live casino and slots solutions to gaming operators in Europe, Asia, North America, Latin America, and internationally.

Full company description

Evolution AB (publ) develops, produces, markets, and licenses live casino and slots solutions to gaming operators in Europe, Asia, North America, Latin America, and internationally. It offers casino and live games shows under the Evolution and Ezugi brands; online casino under the NetEnt brand name; and casino games and software comprising jackpot system, a smart spins bonus management application, and tournaments gamification under the Red Tiger brand. It also provides slots titles and game mechanics under the Big Time Gaming brand; online casino platform and games under the Nolimit City brand name; HD spinning gaming wheels under the DigiWheel brand; and B2B social streaming games under the Livespins brand name. The company was formerly known as Evolution Gaming Group AB (publ). Evolution AB (publ) was founded in 2006 and is headquartered in Stockholm, Sweden.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Evolution AB (publ) reported revenue of €2.1B in FY2025 versus €1.1B in FY2021, a compound +18.7%/yr. Reported net income was €1.1B in FY2025, compounding +15.1%/yr from FY2021.

Growth Quality 94/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2025)
2.1B SEK
Latest YoY
−4.3%
Avg. revenue growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+13.3%
Avg. revenue growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+30.4%
Avg. revenue growth/yr (13Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+38.3%
Value creation/yr (5Y) Earnings growth per share (CAGR 5 years) plus dividend yield: value created per share and year.
+28.7% (28.3 + 0.4)
Revenue +18.7%/yr
FY21 €1.1B
FY22 €1.5B
FY23 €1.8B
FY24 €2.2B
FY25 €2.1B
Net income +15.1%/yr
FY21 €605M
FY22 €843M
FY23 €1.0B
FY24 €1.2B
FY25 €1.1B
Character of growth · EPS growth decomposed (2014-2025) +52.4 % p.a.
Revenue per share +40.8 %

of which total revenue +43.3 % · buybacks/dilution −1.8 %

EBIT margin +9.0 %
Tax rate −0.6 %
Residual (interest, one-offs) −0.1 %

Annual growth per factor. These are factors, not summands: multiplied they give the EPS growth rate, added they do not quite. Start and end points are 3-year averages (details on hover).

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Cite: Fair Value Calculator (2026). "Evolution AB (publ) Fair Value". https://www.fairvalue-calculator.com/stock/EVO

Peer Group

Gambling · 54 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 79 · Top 25%
Fair Value upside +16% · Above median
Return on equity (TTM) 25% · Top 25%
Return on assets 13% · Top 25%
Net margin (TTM) 51% · Top 25%
Operating margin (TTM) 57% · Top 25%
Revenue growth −2% · Below median
Dividend yield (TTM) 0.4% · Bottom 25%

Valuation Multiples vs Gambling median · lower = cheaper

P/E (TTM) 14.5× · Cheaper than median
P/B 3.39× · Pricier than median
P/S (TTM) 6.69× · Pricier than 75% of peers
P/FCF 11.4× · Cheaper than median
EV/EBITDA 10.3× · Pricier than median

Strength profile in five axes (Snowflake)

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUEFUTUREPASTHEALTHDIVIDEND
This stock
VALUEFUTUREPASTHEALTHDIVIDEND
Sector peers
VALUE55 · sector 27
FUTURE0 · sector 9
PAST100 · sector 26
HEALTH100 · sector 89
DIVIDEND8 · sector 50

Insider activity: 40/100

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

Gambling

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Frequently asked questions

Is Evolution AB (publ) (EVO) overvalued or undervalued?
As of Sep 1, 2026, our model estimates a fair value of kr 982.64 versus a price of kr 846.00, about +16% upside (undervalued).
What is the fair value of EVO?
Our model-based fair value for Evolution AB (publ) is kr 982.64 (as of Sep 1, 2026), built from audited fundamentals. The current price: kr 846.00.
What is the quality score of EVO?
Evolution AB (publ) has a Quality Score of 79/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of Evolution AB (publ) (EVO)?
Evolution AB (publ) reported trailing-twelve-month revenue of about 2.1B SEK (latest available figure, as of Sep 1, 2026).
What is the net profit margin of EVO?
The net profit margin of Evolution AB (publ) is about 51.5%, meaning it keeps roughly 51.5% of revenue as net income. Based on the latest reported figures.
Does Evolution AB (publ) pay a dividend?
Evolution AB (publ) currently shows a dividend yield of about 0.42% relative to its recent price (as of Sep 1, 2026).
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